In the framework of the Guidelines for the Prevention, Detection, and Control of Money Laundering and Financing of Terrorism and the Financing of the Proliferation of Weapons of Mass Destruction (hereinafter referred to as the Guidelines), key roles are established within financial entities and obligated subjects to ensure compliance with regulations related to money laundering and terrorism financing.

Two of these roles are the Compliance Officer and the Compliance Manager. The differences between these two roles, as established in the Guidelines, are detailed below.

“Both roles are essential to ensure compliance with prevention regulations. While the Compliance Officer focuses on larger and more complex entities, with a broader set of responsibilities and more rigorous requirements, the Compliance Manager is suitable for smaller entities.”

Firstly, Alejandra notes that “compliance officers are those appointed by individuals or organizations supervised by the Superintendence of the Financial System. On the other hand, compliance managers are appointed by the rest of the subjects, including Designated Non-Financial Businesses and Professions, as well as non-profit associations and foundations.”

Compliance Officer:

1. Appointment and Hierarchy: The Officer must be appointed by the highest-ranking governing body of the entity, and their hierarchical rank must be higher than that of their direct reports. This ensures their independence and autonomy in decision-making.
2. Requirements: The Compliance Officer must meet specific requirements, including certification in money laundering prevention and at least two years of experience in the field, holding a managerial position, possessing legal, business, and controls skills and knowledge, as well as a university degree.
3. Functions: Their functions include constant monitoring of policy and procedure compliance, presenting reports at least semi-annually, promoting modifications to policies and procedures, designing manuals, collaborating in the development of methodologies, analyzing audit observations, and assessing regulatory compliance. Additionally, they have the exclusive authority to decide whether to prepare a suspicious activity report.
4. Registration and Communication: Must register with the UIF within a maximum of 5 business days after their appointment and communicate this appointment to the Superintendence of the Financial System.

Compliance Manager:

1. Appointment and Hierarchy: The Compliance Manager is appointed by the highest-ranking governing body and must also enjoy independence and autonomy in the execution of their functions.
2. Requirements: The Compliance Manager must have training in prevention and risk management related to money laundering and terrorism financing, knowledge of the regulatory framework in the field, a university degree, and knowledge of financial, operational, and legal aspects of the business.
3. Functions: Like the Compliance Officer, their functions involve monitoring compliance with policies and procedures, presenting reports, promoting modifications to policies and procedures, collaborating in the development of methodologies, analyzing audit observations, and assessing regulatory compliance. They also have the authority to decide whether to prepare a suspicious activity report.
4. Registration and Job Protection: Must register with the UIF and cannot be dismissed, sanctioned, or removed for performing their functions.